Rate of Return on Net Sales = (Net Income) / (Total Sales)
Total sales - cash sales - sales return
sales+sales return=net sales
return on sales
RONA is Net Income divided by Fixed Assets + Net Working Capital. Thus, higher the ratio, higher is the return on net assets. So the anwer to your questions is NO. 0.40 to 1 is not a better return on net assets ratio than 0.45 to 1.
Gross margin ratio = (sales - cost fo sales) / sales Gross margin ratio =( 28496 million - 19092 million ) / 28496 million
Return on sales = 814100 / 9275000 = 8.777 %
sales to expense ratio should be under 10% of your net sales, on a monthly basis
Total sales - cash sales - sales return
sales+sales return=net sales
no
return on sales
fixed assets turnover ratio
1. Net sales - cost of goods sold = Gross profit Gross profit / Net sales = Gross profit ratio
net income divided by sales
net profit/sales
RONA is Net Income divided by Fixed Assets + Net Working Capital. Thus, higher the ratio, higher is the return on net assets. So the anwer to your questions is NO. 0.40 to 1 is not a better return on net assets ratio than 0.45 to 1.
Net Profit Margin = Net Profit/ Sales Revenue X 100